DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, BARNALA, PUNJAB.
Complaint Case No : 488/2015
Date of Institution : 03.09.2015
Date of Decision : 26.04.2016
Geetu Bala W/o Devinder Kumar R/o H. No. 1773, Lakhi Colony, Near Kinnu Wala Baag, Barnala, Tehsil and District Barnala.
…Complainant
Versus
1. HDFC Life Insurance Company Limited, 12th-13th Floor, Lodha Excelus, Apollo Mills Compound, N.M. Joshi Road, Mahalaxmi Maharastra, Mumbai-400011 through its Manager/Authorized Signatory.
2. HDFC Life Insurance Bathinda, Gurukanshi Marg, A-3038, Ground Floor, Dalip Singh Walia Complex, G.T. Road NH-15, Bathinda 151001 (PB) through its Manager/Authorized Signatory.
3. HDFC Bank Ltd., Branch Barnala, Paka College Road, Barnala Through its Manager.
…Opposite Parties
Complaint Under Section 12 of Consumer Protection Act, 1986.
Present: Sh. Harpreet Singh counsel for the complainant
Sh. VK Garg counsel for opposite parties No. 1 and 2
Sh. AK Jindal counsel for opposite party No. 3.
Quorum.-
1. Shri S.K. Goel : President.
2. Shri Karnail Singh : Member
3. Ms. Vandna Sidhu : Member
ORDER
(SHRI S.K. GOEL PRESIDENT):
The complainant namely Geetu Bala has filed the present complaint under the Consumer Protection Act, 1986 (in short as Act) against HDFC Life Insurance Company Limited and others (in short as opposite parties).
2. The facts leading to the present complaint are that the complainant has one saving account bearing No. 04321540001108 with the opposite party No. 3. The complainant is regularly operating her account. It is alleged that in the month of April 2015 she went to the branch of opposite party No. 3 to inquire about one transaction. But the Manager of opposite party No. 3 told the complainant that the opposite party No. 3 has launched various schemes of life insurance for customers who have saving account with them and also sent the complainant to meet one girl namely Jyoti who was sitting on the next desk in the premises of the opposite party No. 3. After discussion with that girl it came to the knowledge of the complainant that Jyoti is the agent/representative of opposite parties No. 1 and 2, which is the sister concern of opposite party No. 3. It is further alleged that the said representative persuaded to the complainant to have a plan namely HDFC SL ProGrowth Super II and the complainant was told that she will have to pay a premium of Rs. 25,000/- per annum and after 4 years and 25 days the complainant will get an amount of Rs. 2,40,000/-. It was also told regarding the free look period if written policy terms and conditions does not match then within 15 days the complainant can cancel the policy and the amount of first premium paid by the complainant shall be refunded by the opposite parties. After assurance of the agent, the complainant agreed to purchase that policy and on 21.4.2015 the complainant paid Rs. 25,000/- for the purchase of the said policy vide draft No. 4185-043213020778 in favour of HDFC Life Bathinda from her account. It is further alleged that in the second week of June 2015 the complainant received policy No. 17628939 from opposite party No. 3. However, the complainant astonished to see the terms and conditions of the policy were totally different as per orally told by the agent. Therefore, the complainant immediately with her husband namely Mr. Devinder met with the agent/representative of the opposite party No. 1 and inquired about the policy terms and conditions. But the said agent could not satisfy about the terms and conditions of the policy. Then on 11.6.2015 the complainant filled cancellation form of the policy and also submitted all the original documents to the agent within free look period and the representative issued one receipt dated 11.6.2015 regarding acceptance of cancellation of policy and assured that within 15 days premium will be refunded to the complainant. It is further alleged that even after lapse of 15 days the refund was not received. Then the complainant many times met to the representative of the opposite parties but the opposite parties refused to refund the said amount. Hence the present complaint is filed seeking the following reliefs directing the opposite parties.-
1) To refund the amount of first premium with 12% interest from the date of cancellation of policy.
2) To pay a sum of Rs. 50,000/- for harassment.
3) To pay Rs. 10,000/- as litigation expenses.
3. Upon notice of this complaint, the opposite parties No. 1 and 2 have filed a joint written statement interalia taking legal objections on the grounds that the complainant is not a consumer, no locus standi, no cause of action and this matter cannot be decided in the summary procedure.
4. On merits, it is pleaded that the complainant purchased the policy after understanding the terms and conditions of the policy and the complainant received the policy through Blue Dart Courier. They have however denied any misrepresentation to the complainant. They have also denied any persuasion to purchase this policy. They have also denied that the complainant submitted the cancellation form on 11.6.2015. It is also submitted that the cancellation form was to be submitted with them and not with the opposite party No. 3. They have denied any deficiency in service on their part and finally prayed for the dismissal of the complaint.
5. The opposite party No. 3 also filed a separate written version taking legal objections on the ground of locus standi, frivolous complaint, jurisdiction, bad for mis joinder and non joinder of necessary parties, abuse of process of law and time barred.
6. On merits it is pleaded that the complainant purchased the policy from the opposite parties No. 1 and 2 and employees of the opposite party No. 3 has provided banking services to the complainant and on the request of the complainant opposite party No. 3 prepared a demand draft of Rs. 25,000/- in favour of the opposite party No. 2 from the account of the complainant and after preparing the demand draft the same was handed over to the complainant. It is further averred that the opposite party No. 3 have no concern regarding the insurance policy. They have denied the other allegations of the complainant and finally prayed for the dismissal of the complaint.
7. In order to prove her case, complainant has tendered into evidence her affidavit Ex.C-1, copy of saving account of complainant Ex.C-2, copy of policy Ex.C-3, copy of acknowledgment of cancellation of policy dated 11.6.2015 Ex.C-4, copy of complaint Ex.C-5, copy of e-mail dated 13.8.2015 Ex.C-6, copy of letter by HDFC Life to complainant Ex.C-7 and closed the evidence.
8. To rebut the case of the complainant the opposite parties No. 1 and 2 have tendered into evidence affidavit of Amit Khanna Associate Manager Legal HDFC Life Insurance Company Limited Chandigarh Ex.OP-1.2/1, copy of policy details Ex.OP-1.2/2, copy of proposal form Ex.OP-1.2/3, copy of Electronic proposal form Ex.OP-1.2/4, copy of Pan Card Ex.OP-1.2/5, copy of Adhaar Card Ex.OP-1.2/6, copy of cheque dated 21.4.2015 Ex.OP-1.2/7, copy of consultant confident report Ex.OP-1.2/8, copy of policy form Ex.OP-1.2/9 and Ex.OP-1.2/10, copy of cheque list and declaration Ex.OP-1.2/11, copy of policy Ex.OP-1.2/12 and closed the evidence. The opposite party No. 3 tendered in evidence affidavit of Mukesh Kumar Branch Manager Ex.OP-3/1 and closed the evidence.
9. We have heard the learned counsel for the parties and have gone through all the record on the file carefully.
10. The case of the complainant is that on the persuasion and assurance of the opposite parties that she will have to pay premium of Rs. 25,000/- per annum and after 4 years and 25 days she will get an amount of Rs. 2,40,000/-, she purchased the policy and further she was told that, if the terms and conditions of the policy do not as per the assurance then she has the right to cancel it and the amount of the first premium will be refunded without any deduction. The complainant further submitted that in the second week of June 2015 she received the policy by hand from the opposite party No. 3 but she was astonished to see that the terms and conditions of the policy were totally different as told by the opposite parties and therefore, she submitted the cancellation form alongwith all the original documents on 11.6.2015 to the opposite party and the opposite party issued one receipt dated 11.6.2015 acknowledging the acceptance of cancellation of policy. However, the refund was not received. It is thus submitted that the complainant has exercised her right within 15 days of the free look period and she is entitled for the refund of the premium of Rs. 25,000/- alongwith interest, compensation and litigation expenses.
11. On the other hand the case of the opposite parties No. 1 and 2 is that the complainant has never opted for cancellation of policy within free look period of 15 days from the receipt of the policy and moreover the policy was sent through Blue Dart Courier and the same was received by the complainant. It is further submitted that the terms and conditions of the policy are binding between the parties being a contract and now she is stopped from raising such objections at this stage. The case of the opposite party No. 3 bank is that they have only prepared the draft in favour of the opposite party No. 2 and they have no concern with any policy.
12. There is no dispute that the complainant has purchased the policy bearing No. 17628939 and paid Rs. 25,000/- as first premium. It is relevant to refer the policy document Ex.OP-1.2/12, the relevant portion of which is reproduced as under.-
Ms. Geetu Bala 21st May 2015
Davinder Kumar House No.
1773
Lakhi Colony
Near Keenu Bagh
Barnala 148101
Punjab
Tele Nos:- 9023770444
Mobile No. 919023770444
Dear Ms. Geetu Bala,
Sub : Your Policy No. 17628939 HDFC SL ProGrowth Super II
We are glad to inform you that your proposal has been accepted and the HDFC SL ProGrowth Super II Policy (Policy) has been issued. We have made every effort to design your policy document in a simple format. We have highlighted important terms and conditions so that you may recognise them easily.
Policy documents:
As an evidence of the insurance contract between HDFC Standard Life Insurance Company Limited and you, the policy is enclosed herewith. Please preserve this document safely and also inform your nominee(s) if any about the same. We are also enclosing alongside a copy of your proposal form and other relevant documents submitted by you for your information and records.
Cancellation in the Free Look Period:
In case you are not agreeable to any of the provisions stated in the Policy, you have the option of returning the policy to us stating the reasons thereof, within 15 days from the date of receipt of the policy. If you have purchased your policy through Distance Marketing this period will be 30 days. On receipt of your letter along with the original policy documents if the reasons stated thereof are found valid, we shall arrange to refund the value of Units allocated to you on the date of receipt of request plus the unallocated part of the premium plus charges levied by cancellation of Units, subject to deduction of the proportionate risk Premium for the period of cover, the expenses incurred by us on medical examination (if any) and stamp duty. A policy once refund shall not be revived, reinstated or restored at any point of time and a new proposal will have to be made for a new policy.”
13. Bare perusal of above said policy document shows that the complainant was competent to exercise her right of cancellation of policy in the free look period of 15 days.
14. It is also not disputed that this document bears the date 21.5.2015 and date of signature is shown as 23.5.2015. It is the case of the complainant that she received the policy in the second week of June 2015. However, this fact has not specifically denied by the opposite parties. Moreover, after signing the policies by the opposite party it can be presumed that at least 7 to 10 days are required to reach to the complainant either through postal authorities or through courier service. Further, no specific date has been mentioned by the opposite party on which the policy was dispatched by them to the complainant.
15. In order to prove that the complainant has submitted the cancellation form alongwith documents on 11.6.2015, the complainant has placed on record the receipt Ex.C-4 which is reproduced as under.-
“Acknowledgment copy (excess Refund/free Look Cancellation/ Withdrawal of Proposal/stop payment & Reissue)
Policy No. 17628939 Interaction ID No. _______Policyholder name Geetu Bala PS Request___________ Documents accepted Yes Original Policy Document Others (Specify)_______
Customer Relations Officer: Dated 11.6.2015 Time 11.31 AM
Jyoti 122903 Stamp
HDFC Bank Ltd. College Road, Barnala.
16. On the other hand the opposite party has not led any evidence or placed on record any document to prove that the receipt Ex.C-4 in question is fabricated one. Therefore, the contention of the learned counsel for the opposite parties that the complainant has not exercised her right of cancellation of the policy is untenable. In view of the overwhelming evidence on the record, it is proved that the complainant has exercised her right of cancellation of the policy within the free look period i.e. within 15 days from the receipt of the policy.
17. As a result of above discussion there is merit in the present complaint and same is accepted. Accordingly, opposite parties No. 1 and 2 are directed to refund Rs. 25,000/- to the complainant alongwith interest at the rate of 9% per annum from the date of deposit till realization. The opposite parties No. 1 and 2 are further directed to pay Rs. 5,000/- as compensation and Rs. 2,100/- as litigation expenses to the complainant. This order shall be complied with within 45 days from the date of the receipt of this order. Copy of this order be supplied to the parties free of costs. The file be consigned to the records.
ANNOUNCED IN THE OPEN FORUM:
26th Day of April 2016
(S.K. Goel)
President
(Karnail Singh)
Member
(Vandna Sidhu)
Member
